Palladyne AI, Cloudflare rise premarket; Nvidia slips

Investing.com - U.S. stock futures hovered around the flatline on Tuesday as investors weighed the durability of the artificial intelligence rally alongside renewed tensions in the Middle East.

By 07:35 ET, the Dow futures contract had risen 0.3%, S&P 500 futures had slipped 0.2%, and Nasdaq 100 futures had fallen 1%.

Artificial intelligence stocks remained in focus as investors digested fresh analyst commentary and reports of growing competition in the semiconductor industry.

Here are some of the biggest premarket U.S. stock movers today:

Palladyne AI rose 4% after the company secured a $4.2 million contract from the U.S. Air Force Research Laboratory to develop autonomous swarming capabilities across space, air, land and maritime domains using its SwarmOS platform. The award marks the first integration of satellites into the company’s technology.

Cloudflare gained 3% after Scotiabank upgraded the cloud networking company to Sector Outperform from Sector Perform and raised its price target to $300 from $225. The brokerage pointed to growing adoption of Cloudflare’s Workers platform for AI-powered application development.

Nvidia slipped 1.6% after a Reuters report said Chinese artificial intelligence startup DeepSeek is developing its own AI inference chip, a move that could reduce its reliance on processors supplied by Nvidia and Huawei. The report renewed concerns about rising competition in the fast-growing AI semiconductor market.

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